Pipeline Firms in Talks With Data Centers on Direct Gas Supply
- Energy Transfer, Williams see opportunity in power-demand boom
- Some centers seek on-site plants to ensure power supply
A data center in Ashburn, Virginia.
Photographer: Nathan Howard/BloombergThis article is for subscribers only.
Pipeline giants Energy Transfer LP and Williams Cos. are talking to data center operators about building pipelines directly to their facilities to fuel on-site power plants as the centers prepare for a boom in artificial intelligence.
Utilities are bracing for the largest increase in power demand in a generation due to data centers for AI, computer-chip factories and a growing number of electric vehicles. Some of that additional power will come from wind and solar. But a significant portion will be from gas-fired plants. And companies that run data centers want to make sure that that gas will be available — and quickly obtainable — when they need it.